Stalled Pittsburgh Casino May Force Arena Bill to State
Tomorrow marks the groundbreaking for the new sports arena in Pittsburgh, soon to be home of the NHL Pittsburgh Penguins. But a controversy is emerging concerning the plan to pay for the site, as the casino that was to earn the construction revenue has itself been stuck in the planning phase.
The North Shore Casino was scheduled to pay for the costs of building the Penguins a new home. But casino operator Dan Barden ran out of money and financing, and the project is on hold.
Neil Bluhm has stepped forward to revive the casino plans, but he must receive approval from the state gaming board before any further steps may be taken toward opening the casino.
In the meantime, planning for the arena continues unchecked, and Penguins owner and former star Mario Lemieux says there will be no break in construction, despite the casino quandary.
It seems that the state of Pennsylvania has guaranteed the fees and costs for the arena's construction, if those are not received via casino ownership. This would mean instead of the gambling venue generating the money to build the new hockey project, the state taxpayers would be forced to cover expenses.
Republicans in the state legislature attacked Governor Rendell for agreeing to the possibility the state might get stuck with the bill, but a spokesman from the governor's office said the terms were clearly explained when the deal was made.
